Month-end close checklist for small businesses
Short answerA month-end close is the set of checks a bookkeeper does after each month so the reports are complete and correct. Record everything, reconcile every bank and card account, review what customers owe and what you owe, make any adjusting entries, review the reports, then lock the month so it can't be changed by mistake.
Download the checklist (CSV, opens in Excel or Google Sheets)The checklist
| Step | Task | Done when |
|---|---|---|
| 1 | Record all sales: invoices, sales receipts and payments received | Every sale for the month is in the books |
| 2 | Record all bills and expenses, with receipts attached | Every supplier bill and card purchase is entered |
| 3 | Clear the bank feed | No transactions waiting to be categorized or matched |
| 4 | Record bank deposits from Undeposited Funds | Undeposited Funds holds only payments not yet taken to the bank |
| 5 | Reconcile every bank account | Difference is $0.00 for each account |
| 6 | Reconcile every credit card account | Difference is $0.00 for each card |
| 7 | Review accounts receivable aging | Overdue customers have been sent reminders |
| 8 | Review accounts payable aging | Bills due soon are scheduled; nothing is paid twice |
| 9 | Record payroll and any adjusting entries | Payroll, depreciation and accruals are entered |
| 10 | Review the profit and loss and balance sheet | Nothing looks unusual compared with last month |
| 11 | Send reports to the owner | The owner has the month's reports |
| 12 | Lock the month (set a closing date) | Past transactions can't be changed by accident |
A typical timeline
- Days 1–2 after month end: finish recording sales, bills and expenses; clear the bank feed.
- Days 3–4: statements arrive; reconcile banks and cards; review receivables and payables.
- Day 5: adjusting entries, report review, send reports, lock the month.
Common mistakes
- Reconciling before the bank feed is cleared, so transactions are missing.
- Leaving old payments sitting in Undeposited Funds, which makes the bank balance look wrong.
- Skipping the report review: a quick comparison with last month catches most errors.
- Not locking the month, so someone edits last month's transactions and old reconciliations stop matching.
Related guides
BookkeeperReady is an independent training product. It has not been approved, sponsored or endorsed by Intuit Inc. and is not affiliated with it. Intuit and QuickBooks are registered trademarks of Intuit Inc. Screens and prices in QuickBooks change; check Intuit's help pages for the latest details.